Investing.com – Union Pacific stock (NYSE:) rose 0.4% in Thursday’s premarket trading as the rail transporter of goods and commodities reported third-quarter numbers that were ahead of estimates.

The stock was a little volatile in premarket trading as traders were caught between Union’s Q3 numbers and the company cutting its guidance for annual volume growth after having raised it just about three months ago.

According to the company’s September quarter report, there was strong demand for freight transport. The company benefited from the stronger economy as well as higher crude oil prices.

The operating revenue was $5.6 Billion, an 13% increase. Price increases were also a contributing factor. The net profit rose 23% to $1.67 Billion.

Stocks were also helped by a commitment to paying out 45% dividends. The company had so far committed to pay ‘around 45%’ of earnings.

Rail transport providers expect annual volume growth of 5% by 2021. That’s two points lower than the July forecast of 7.7%.

First, the company expected a 4%-6% increase in volume. This was achieved in January. In April, this was revised to a roughly 6% increase.

In the third quarter, business volumes (as measured by total revenue carsloads) were flat.